Key instructions:
- Expanding SEC’s Ethereum ETF Decision: It highlights the SEC’s decision to delay the approval process for the Ethereum ETF, and points out the revised timeline for the affected ETFs and a potential decision in May 2024.
- Market Focus on Bitcoin ETFs: It highlights market expectations regarding the SEC’s approval of the Bitcoin ETF, citing analysts’ forecasts and the potential impact on the cryptocurrency market based on these expectations.
The U.S. Securities and Exchange Commission (SEC) announced that it is extending the decision-making process for several Ethereum exchange-traded funds (ETFs), delaying final rulings until the end of May 2024. Several Ether tickers, including the Hashdex Nasdaq Ethereum ETF and Grayscale Ethereum Futures ETF, were included in regulatory filings dated December 18.
Read more: SEC adopts cautious approach, extends Grayscale Ethereum ETF decision until January 25
The Hashdex Ether ETF aims to cover both spot Ether and futures contracts, and Grayscale’s Ethereum Futures ETF is seen as a strategic move that could potentially lead the SEC to convert Grayscale’s Ethereum Trust into a spot Ethereum ETF. It has been done.
In light of these developments, the SEC has initiated a process to gather additional public comments regarding the potential listing of these ETFs, signaling the need for further consideration. The agency also postponed a decision on the VanEck spot Ethereum ETF and the spot Ethereum ETF proposed by Cathie Wood’s ARK Invest and 21Shares.
Update: There it is. delayed order @ARKInvest and @21 weeks on the spot #Ethereum ETF reporting. It was expected to close by December 26th. Their final date is late May. https://t.co/Zs6Zsd4uKj pic.twitter.com/9u0nNiPD9O
— James Seyff (@JSeyff) December 18, 2023
Bloomberg ETF analysts James Seyffart and Eric Balchunas anticipated the delay and suggested that the SEC’s final requests for these ETFs will be made no later than the end of May. Despite prior approval for an Ethereum futures ETF, the SEC has yet to approve any spot or hybrid product for Ethereum.
Update: SEC opens delayed orders early @hashdex & @Grayscale #Ethereum ETF documentation. Neither expires until January 1, 2024.
Perhaps it’s just a matter of clearing the queue before the holidays? pic.twitter.com/LdZQxGh43L
— James Seyff (@JSeyff) December 18, 2023
While interest in Ethereum remains, significant focus within the market is on the possibility of the SEC approving 13 spot Bitcoin ETFs. Analysts speculate that the SEC could announce a decision as early as January 10, and Seyffart and Balchunas give approval a 90 percent chance. The possible approval of a Bitcoin ETF has fueled market optimism about institutional access to Bitcoin, leading to a notable surge in the price of Bitcoin by more than 44% over the past six months.
Ethereum has experienced a less pronounced surge of 16.8% over the same period, but market interest continues and the cryptocurrency community is keenly watching these regulatory decisions and their impact on both Ethereum and Ethereum. Bitcoin.